The Naira has depreciated against major currencies, losing N3.45 to close at N1,605.63 per dollar at the official market.

This follows a sharp decline in global crude oil prices, which dipped below the $60 per barrel mark.According to data from the Central Bank of Nigeria (CBN), the Naira’s value fell from N1,602.18 on Friday.

The parallel market also saw pressure, with the Naira exchanging at N1,615 per dollar, up from N1,610 the previous week.

Analysts warn that the government may face worsening fiscal deficits and declining foreign reserves, further straining its ability to stabilize the exchange rate and finance critical public expenditures.”With Brent crude falling below $60 per barrel, Nigeria’s already stretched fiscal position is at risk,” one analyst noted.

“The naira’s depreciation reflects the market’s reaction to reduced dollar inflows from oil sales.”The renewed volatility comes amid ongoing efforts by the CBN to stabilize the currency through policy tightening and foreign exchange reforms.

However, the external shock from oil markets may blunt the impact of these measures, adding pressure on policymakers to explore alternative revenue streams and accelerate economic diversification.